Hungary is a democratic parliamentary republic, located in Central Europe. The unicameral parliament has 199 members: 106 from single-member constituencies and 93 from a national list. The president, who is elected by parliament for a five-year term, is largely a figurehead. Executive power is exercised by the prime minister. Hungary ranks as 61st largest economy in the world (by GDP PPP). Hungarian economy is highly integrated with the European Union, which buys around 80% of Hungarian merchandise exports. Total external trade volume is around 86% of GDP, which makes Hungary one of the most open economies in the world. The central bank, Magyar Nemzeti Bank (MNB), pursues an inflation-targeting approach to monetary policy and maintains a floating exchange rate regime. Economic weaknesses include: high public debt and large total external debt burden, vulnerable banking sector and declining FX reserves (low import cover).